Iran Ready To Swap Oil

Tehran, May 24, IRNA - A senior official has voiced Iranˈs readiness to swap 500,000b/d of crude oil in the Caspian Sea. [Iran ready to swap oil] “Iran is fully ready for a daily swap of around 500,000 barrels of Caspian Sea crude oil at Neka terminal,” SHANA quoted Pirouz Mousavi, Managing Director of Iran Oil Terminals Company as saying on Saturday. Mousavi said that 14,000-ton oil tankers can now anchor at Neka Port following its development. Iran plans to develop the coastal infrastructure at its northern port city of Neka, situated some 200 kilometers (124 miles) north of Tehran, and raise its oil swap capacity. Iran imports oil from Central Asian countries to be refined at Tehran and Tabriz oil refineries and then delivers an equivalent amount of oil to potential buyers in the Persian Gulf. Iran started its oil swap with the Caspian Sea and Central Asian states in 1997. Naftiran Intertrade Company (NICO), a subsidiary of the NIOC, is administering Iran oil swap operations. Besides revenues and regional diplomacy, the oil swap project reportedly saves Iran costs of carrying 500,000 barrels per day of oil from south to north of the country. “In the first phase of construction of Neka pool, which is under way for dredging, vessels weighing 1,2000 tons could also berth. Until recently, only vessels weighing 5,000 tons could dock,” he said. “Over the coming six months, the final activities at Neka pool will be done. This pool can support oil production at Caspian Sea,” said Mousavi./end